Answer Happy

To profitably employ a best-cost provider strategy, a company must Copyright © by Gio-Bus Software, Inc. Copying, distributing or 3rd party website posting isexpressly prohibited and constitutes copyright violation O outmatch the resources and capabilities of both low-cost providers and broad differentiators, have a distinctive competence in controlling the costs of value chain activities, and offer only a limited selection of models and styles. O cut its price to levels low enough that buyers become convinced they are being charged the best price for what is widely perceived as the industry's best product. O deliver superior value to buyers by doing such a good job of managing the cost drivers that it ends up with the best cost (as compared to rivals) in performing each activity in its value chain. have the capability to incorporate upscale attributes (appealing features or functionality or quality, or satisfying customer service) into its product offering at a lower cost than rivals with comparable upscale product offerings--a best-cost producer can then use its low-cost advantage to underprice rivals whose products have similar upscale attributes and still earn attractive profits. O identify and concentrate on those differentiating features that are inexpensive to incorporate, perform its value chain activities at the best cost (as compared to rivals), and sell its product at a price which buyers view as being the best value.